The company's ecosystem enabling redistribution of B-booking income back to clients is quickly gaining traction

29 August 2018

If you were thinking that innovation in the forex and CFDs industry has stalled, Non-Zero is here to prove you wrong. Just five days ahead of the official launch of the company’s brand-new product, Non-Zero has attracted a record following on social media channels. The company’s bounty program which was launched on Thursday has already helped establish a substantial community.

Non-Zero’s following has now surpassed that of other retail trading-focused projects such as Trade.io, CoinMetro and ThinkCoin. The company’s client and broker-centric approach is likely to yield further interest in the ecosystem it is developing. The platform focuses on delivering an unorthodox product which has the potential to revolutionize the retail trading industry as a whole.

Non-Zero’s goal is to open up an environment of radical transparency between brokers and their clients. The company has developed a platform which is designed to help brokers redistribute back to their clients a portion of their revenues generated from market making activities.

With the advent of the the new ESMA regulatory framework, Non-Zero is on point with a solution that solves the inherent conflict of interest between brokers and their clients.

The company has committed to distribute 4.8 million NZO tokens as part of its bounty program which launched last Thursday. The promotion will remain active until the following of the company’s social media pages reaches 30,000 per channel.

Boosting Client Base

The community which Non-Zero attracted to the project is a testament to the usability of the company’s platform. Within 72 hours of the launch of its bounty program the community supporting the company skyrocketed with over 22,000 followers on Telegram, 14,000 on Twitter, over 13,000 on YouTube, over 9,000 both on Facebook and LinkedIn.

End-clients appear to be very enthusiastic about the prospects for Non-Zero’s product. With such a strong community, the number of brokers which are supporting the platform is likely to increase swiftly. The elimination of conflicts of interest between brokers and their clients is at the core of the philosophy of Non-Zero. This positions the firm in the right space to assist both sides of the retail brokerage market.

Traders may receive a portion of their losses back in the form of Non-Zero tokens if the broker booked warehousing revenues on their trades. On their part, brokers are happy to post an increase in customer loyalty. The ecosystem which the company is delivering to market coincides with the implementation of the new ESMA regulatory framework in Europe.

In other words, Non-Zero’s ecosystem comes designed to mediate between brokers and their clients at a crucial time when the industry is racing to gain client trust. As a recent report by Finance Magnates has articulated, the ratio of winning clients at retail brokerages is sometimes very low. The new ecosystem which Non-Zero has developed and will be rolling out before the end of the year is designed to better accommodate the interests of both brokers and traders alike.

Optimizing Revenue Streams

While traders can gain access to additional tools or margin by using their NZO tokens, brokers have the opportunity to shift to a more sustainable business model. By adopting Non-Zero’s platform, firms can diversify their revenues to rely more heavily on commissions and spreads at a time when the industry is rapidly changing.

The market making model which brokers have been relying upon is becoming particularly difficult to use in light of the new regulatory restrictions in Europe. Several executives in the industry have warned that the extended lifecycle of clients and rising acquisition costs are likely to change the industry altogether. Non-Zero is here to help this transition while boosting the confidence of clients into the brokerage industry as a whole.

The company’s platform which is connecting to a risk-management module enables companies to approach the market in a different way. Hard data from industry research financed by none other but Microsoft shows that warehousing revenues for brokerages have been greatly reduced in the aftermath of new regulatory frameworks in the US and Japan.

The new regulatory environment in Europe is an open opportunity for the brokers to get ahead of the game and switch to business model which relies on getting a broker’s income from commissions and spreads rather than warehousing. Non-Zero’s product comes right on time to turn market making revenues into a new on-boarding tool. As broker revenues are shifted to the new business model, their approach to clients will also become essential for the further development of new business.